Monthly Archives: May 2015

Recent decisions in the arbitration process at the International Chamber of Commerce (ICC) in Paris have been warmly welcomed by the owners of FBME Limited. They have reaffirmed their strong commitment to providing full cooperation to the Arbitral Tribunal and to achieving a solution to the dispute through collaboration with the Respondents.

A press release has been produced on the latest round of arbitration at the International Chamber of Commerce (ICC) in Paris. This covers recent decisions of the Arbitral Tribunal and can be read by clicking here.

Dinos Christofides, the accountant appointed to run FBME Bank’s Cyprus branch by the Central Bank of Cyprus (CBC), abruptly left his role on Friday, 15 May 2015. The CBC announced on its website that Mr Christofides has resigned for personal reasons, though in private conversations he gave a different perspective.

On 21 July 2014 at 11 o’clock in the evening, the Central Bank of Cyprus announced the imposition of resolution measures on the Cyprus branch of FBME Bank. As we know, Resolution is a preferred route for taking over the affairs of a bank going bankrupt, but it has not been used before for a healthy, liquid bank such as the Cyprus branch of FBME. In turning to this measure, the Central Bank failed to coordinate – or even inform – the supervisors of the head office of FBME Bank, the Bank of Tanzania. From that day to this, the CBC has still failed to link its actions to those of the superior authority in Tanzania or even to pay much attention to the rules and laws of Cyprus and the EU.

An interesting factoid has emerged from the details of the appointment of a second Administrator by the Central Bank of Cyprus (CBC) to run the affairs of the Cyprus branch of FBME Bank: the two Administrators are paid more than the combined salaries of the Governor of the CBC and the person she describes as her boss, the ECB President Mario Draghi. You can probably also include the combined salaries of the other members of the CBC Board of Directors and still have change.

Recent reports have incorrectly stated that FBME staff have approached the Police and the Central Bank of Cyprus to make certain unspecified allegations of breaches of Anti-Money Laundering Law. As far as FBME understands, the persons referred to are in fact individuals connected to British companies that are currently engaged in litigation with FBME regarding disputed invoices and services.